Enterprise Resource Planning: «smart investment»

ERP (Enterprise Resource Planning) systems are software designed to improve both external customer relationships and internal collaborations. An ERP system has automating tasks and activities that streamline work processes, shorten business process cycles, and increase user productivity. One of the most advantages of the ERP systems is that they have methods for standardized processing. (An ERP software application can both store and recall information when it is required in a real-time environment)

ERP software systems are also implemented to enhance operational efficiencies, achieve financial objectives, manage and streamline the company’s operational processes or improve information management through better data accessibility by decreasing data duplication and optimal forecasting features. For example: the supply chain management, manufacturing, distribution, warehouse management, retail management, and point-of-sale software, between others.

But, not all are advantages, because the implementation of an ERP requires:

The biggest disadvantage is that large and medium companies use various specific applications to manage different areas of activity, and most of them aren’t included in an ERP, which complicates the correct choice of the information needs of a company.
At this point is crucial the implementation of a system that integrates the information needs (internal and external) of each one of the processes, not only for better performance but also as support for decision-making in favor of the objectives and strategies company.

Therefore, the implementation of an integrated information system implies investing a considerable amount of money; this investment will be higher for a larger company.

So, before considering any budget, is very important to study the benefits of the company and his information needs.

 



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